UK - ADIB the first UAE Islamic bank to begin operations in the UK

www.cpifinancial.net - Abu Dhabi Islamic Bank (ADIB) has officially opened its London branch at the prestigious One Hyde Park at Knightsbridge. It becomes the first UAE-based Islamic financial institution to receive a banking operations licence from the UK Financial Services Authority and to offer full range of services to high net worth individuals. (source)

LUXEMBOURG - Luxembourg launches Islamic fund

www.cipfinancial.net  - The recent incorporation in Luxembourg of the SEDCO Capital Global Funds will boost the total assets held by Islamic investment structures and vehicles under Luxembourg law.

 The specialised investment fund, incorporated as a Luxembourg Sicav at the initiative of SEDCO Capital (part of the Jeddah-based SEDCO Holding group of companies) is a fund with multiple sub--‐funds and is set to reach over 1 billion dollars within the first year after launch.

The fund is Shari’ah-compliant. A recent study by Luxembourg for Finance showed that assets held by fund structures investing according to Shari’ah principles reached 2 billion dollars at 31 December 2011.
Just under half of this money was held in regulated investment funds with the balance in unregulated structures and securitisation vehicles. Consultants indicate that further projects are in the pipeline.
Luxembourg has been actively promoting its services to Shari’ah-compliant investment structures since 2008 and ALFI, the investment fund association, has a dedicated working committee.  (source)

UK - Islamic Bank of Britain’s first ‘Islamic Finance Question Time’

www.cpifinancial.net - Islamic Bank of Britain plc (IBB) has held an exclusive event, entitled Islamic Finance Question Time – an open, public Q&A session hosted by the Bank’s Shar’ah Scholars.  Islamic Finance Question Time is the first event of its kind, and the only time a UK Islamic bank has given public access to the Scholars that form its Shari’ah Supervisory Committee (SSC).(source)

UK - Islamic finance an opportunity for UK county Yorkshire

www.cipifinancial.net - Professor Ross Haniffa, Director of the Centre for Accounting and Accountability Research, believes Yorkshire should be taking the lead for Islamic finance in the UK.

In a statement posted on Hull University Business School’s website, Haniffa talks about the opportunities for Yorkshire businesses to get involved in Islamic finance.

“A significant proportion of the UK Muslim community lives and works in the Yorkshire region. Yet banks offering the Shari’ah-compliant services of Islamic finance are still few and far between,” he said.

He stated that over the last few years, there has been encouragement from the UK Government for the growth of Islamic finance in the UK through legislative adjustments and creating a supportive environment, but this has focused on promoting the financial centre of London.  (source)

UK - FINANCE - Solum Asset Management eyes UK student accommodation

cpifinancial.net - Launched at the World Islamic Banking Conference, Solum Asset Management has unveiled plans for a Sukuk that will invest in income-producing student accommodation in the UK

Safdar Alam, Chief Executive Officer, Solum Asset Management

The firm plans to issue its UK Student Accommodation Sukuk in Q1 2012. Solum says it has identified and shall acquire existing income-producing assets. Value for money and rental affordability will be key tenets of the investment strategy, the firm said.

The UK student accommodation sector has performed well despite the downturn in the wider UK economy, commercial and residential property sectors. Structurally, there remains a long term shortage of purpose built housing for students in many cities and this, coupled with the low delivery of new private housing stock, has resulted in continued positive rental growth in many university towns and cities in the UK. (source)

UK - Gatehouse acquires Rolls-Royce real estate for $87.9 million

Gatehouse Bank (Gatehouse) has completed the £52.7 million ($87.9 million) acquisition of the Rolls-Royce core manufacturing and logistics facility in Scotland


Delivering an annual cash yield of eight per cent, or £4.8 million ($8 million) over three years, the lease benefits from fixed rental uplifts of 1.5 per cent per annum with a 17 years' of certain term income.


Fahed Boodai, Chairman of the Board of Directors at Gatehouse Bank commented, “I am pleased to announce the completion of this high profile acquisition on behalf of our clients. The core manufacturing and logistics facility purpose built for and let to Rolls-Royce plc offers a one- of-a-kind opportunity that delivers maximum benefits to our clients.


“The superior financial covenant of a Grade A-rated blue chip company is undisputed and combined with the certainty and length of income provided by this transaction, these factors strengthen the return on investments for our investors. Ultimately, we are proud to deliver a gold-standard investment opportunity that is a rare and extremely valuable asset to have in the market.” (full story)